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Preliminary objections to Director Order to Pay dismissed; issue estoppel inapplicable.
The applicant, a director of an insolvent company, sought review of a Director Order to Pay for unpaid wages.
She raised two preliminary issues: first, that the Employment Standards Officer lacked authority to issue the order without first issuing one against the employer; and second, that the matter was res judicata because the trustee in bankruptcy had disallowed the employees' claim.
The Board dismissed both preliminary arguments, finding that the Employment Standards Act does not require an order against an insolvent employer as a precondition to director liability, and that issue estoppel did not apply because the trustee's determination under the Bankruptcy and Insolvency Act involved a different legal question than the one under the Employment Standards Act.
